Last Modified: Tuesday, November 6, 2012 at 10:10 p.m.

Costello was leading with 53.8 percent of the unofficial vote count to Conte's 46.1 percent in District 4, which takes in Northeast Volusia and stretches as far west as DeLeon Springs.

The tax hike was behind by a margin of 50.6 percent to 49.4 percent in a countywide vote, with 123 of 125 precincts reporting.

"I'm really, really excited about representing all the students of Volusia County, advocating for all the students," Costello said.

The proposed tax of $1 per $1,000 of taxable property value would have raised about $26 million annually over the next four years. Part of it would have replaced a 25 cents per $1,000 "critical needs tax" that's been in place for four years and will expire June 30, leaving a $6 million hole in the school budget.

The School Board said the tax hike was needed to raise money for academic programs, teacher retention and student activities in the wake of $80 million in state funding cuts since 2007.

Opponents, including Costello and Volusia Tax Reform, said taxpayers couldn't afford the additional levy in an already ailing economy where the county's combined average property tax ranks second highest in Florida.

Voters' rejection of the tax plan means Costello, who will start her four-year term Nov. 20, and the three other School Board members will have to find another way to balance the budget. "I think it's a job that needs to be done and can be done," Costello said.

She emerged victorious in her first bid for public office, telling voters it was time for a change and fresh energy. While the election was officially nonpartisan, Costello drew support from Volusia's Republican Committee.

Conte ran on a platform of experience, which she said prepared her well to continue serving at a time the school district faces a financial struggle.

One School Board seat remains open after Al Williams, who won a new term in the District 2 August primary, died Oct. 1. A special election is scheduled for Jan. 15 to select his replacement, with a primary on Dec. 18 if two or more candidates qualify later this month.

Ida Duncan-Wright, a Bethune-Cookman University business instructor who lost the primary battle to Williams, is the only announced candidate so far.

<p>ORMOND BEACH &mdash; Political newcomer Linda Costello upset 20-year Volusia County School Board incumbent Judy Conte Tuesday while voters rejected a school property tax increase by a slim margin. </p><p>Costello was leading with 53.8 percent of the unofficial vote count to Conte's 46.1 percent in District 4, which takes in Northeast Volusia and stretches as far west as DeLeon Springs. </p><p>The tax hike was behind by a margin of 50.6 percent to 49.4 percent in a countywide vote, with 123 of 125 precincts reporting. </p><p>"I'm really, really excited about representing all the students of Volusia County, advocating for all the students," Costello said. </p><p>The proposed tax of $1 per $1,000 of taxable property value would have raised about $26 million annually over the next four years. Part of it would have replaced a 25 cents per $1,000 "critical needs tax" that's been in place for four years and will expire June 30, leaving a $6 million hole in the school budget. </p><p>The School Board said the tax hike was needed to raise money for academic programs, teacher retention and student activities in the wake of $80 million in state funding cuts since 2007. </p><p>Opponents, including Costello and Volusia Tax Reform, said taxpayers couldn't afford the additional levy in an already ailing economy where the county's combined average property tax ranks second highest in Florida. </p><p>Voters' rejection of the tax plan means Costello, who will start her four-year term Nov. 20, and the three other School Board members will have to find another way to balance the budget. "I think it's a job that needs to be done and can be done," Costello said. </p><p>She emerged victorious in her first bid for public office, telling voters it was time for a change and fresh energy. While the election was officially nonpartisan, Costello drew support from Volusia's Republican Committee. </p><p>Conte ran on a platform of experience, which she said prepared her well to continue serving at a time the school district faces a financial struggle. </p><p>One School Board seat remains open after Al Williams, who won a new term in the District 2 August primary, died Oct. 1. A special election is scheduled for Jan. 15 to select his replacement, with a primary on Dec. 18 if two or more candidates qualify later this month. </p><p>Ida Duncan-Wright, a Bethune-Cookman University business instructor who lost the primary battle to Williams, is the only announced candidate so far. </p><p>School Board members earn $34,010 annually.</p>